Hello, I am developing a charting tool for myself using candle data, and I have been wondering for a long time if it is right to include the gap time (2 days) of the weekend in determining trendlines
I know there is no data but does that weekend time influence the convergence of trends?
Not sure what you mean by ‘gap time’. Trendlines are placed looking at candlesticks. So if it’s a 2 day or a 3 day weekend the candles will still print on the next trading day. Trendlines just join the candlesticks together. Weekend has no effect.
I’m not sure of meaning either.
So far as I’ve ever found, weekends (and global public holidays) have no effect on any kind of TA, whether it be chart patterns, MA’s, trendlines or anything else.
I have heard things like for example a wedge is said to preceed a break-out which will occur about two-thirds of the way along towards the apex. But that means after two-thirds of the market session daily bars, no weekend days are intended or included.